Demant A/s · OMXCOP:DEMANT
Demant A/s — William Demant Holding — H1 2007 Earnings Presentation
15 slides from Demant A/s's earnings presentation, August 2007
Slide 1: William Demant Holding A/S Investor Presentation August 2007
Interim Report 2007 William Demant Holding A/S Investor Presentation August 2007 1
Slide 2: Highlights first half 2007
Interim Report 2007 Highlights first half 2007 • 8% growth in Group revenues measured in local currencies to DKK 2,684 million – Hearing Aids grew 9% in local currencies • 13% unit growth in the sale of Group-manufactured hearing aids – we continue to gain significant market shares • EBIT of DKK 672
Slide 3: Hearing Aids
Interim Report 2007 Hearing Aids Organic growth in HA activities • Accounted for 90% of revenues • 13% unit growth in Group-manufactured 18% hearing aids 14% 13% • In H1, the commercial part of the world 9% 7% 8% market grew 2-4% in units; however market growth contribution by NHS and VA was somewha
Slide 4: Epoq to boost sales and profits in H2
Interim Report 2007 Epoq to boost sales and profits in H2 • Oticon Epoq was released for sale end-May/early- June in all major markets • Oticon Epoq has created a lot of interest and user testimonials are extremely positive. The new technology has set new standards for what is possible • Organic gro
Slide 5: Bernafon product news and launches
Interim Report 2007 Bernafon product news and launches • At AAA in April 2007, Bernafon presented its new micro-BTE versions of ICOS (high-end segment) and Prio (mid-priced segment) • In addition, a new Super Power instrument, Xtreme, was introduced • In August/September 2007, Bernafon will launch B
Slide 6: Ongoing restructuring of Group production
Interim Report 2007 Ongoing restructuring of Group production • A Group production site in Australia was disposed off in H1, generating proceeds of DKK 122 million and a profit of DKK 59 million • WDH is about to establish a new production facility in Mierzyn, Poland, to replace the closed productio
Slide 7: Other activities
Interim Report 2007 Other activities Diagnostic Instruments – Business area accounted for 5% of Group revenues – 3% organic growth in H1 with a stronger development towards the end of the period – Steady growth in core business and brainstem audiometry (ABR) – Growth in H2 to match H1 Personal Commu
Slide 8: Net revenue by business area
Interim Report 2007 Net revenue by business area 5% 5% 90% % change in DKK million H1 2007* H1 2006* loc. cur. H1 2006 Hearing Aids 2,408 2,208 9% 2,274 Diagnostic Instruments 150 145 3% 149 Personal Communication 126 121 4% 125 Total 2,684 2,474 8% 2,548 * Computed at H1 2007 exchange rates 8
Slide 9: Net revenue by region
Interim Report 2007 Net revenue by region 8% 4% 5% 51% 32% % change in DKK million H1 2007* H1 2006* loc. cur. Europe 1,382 1,281 8% North America 861 788 9% Asia 144 146 -1% Pacific Rim 196 166 18% Other countries 101 93 8% Total 2,684 2,474 8% * Computed at H1 2007 exchange rates 9
Slide 10: Income statement – H1 2007
Interim Report 2007 Income statement – H1 2007 10
Slide 11: Balance sheet
Interim Report 2007 Balance sheet 30 June 30 June 31 Dec. DKK million 2007 2006 2006 Intangible assets 150 59 96 Property, plant and equipment 914 888 910 Other long-term assets 329 255 285 Total long-term assets 1.393 1.202 1.291 Inventories 695 668 621 Other short term assets 1.138 1.075 1.025 Cas
Slide 12: Cash flows
Interim Report 2007 Cash flows 1st half- 1st half- Full year DKK million year 2007 year 2006 2006 Net profit for the period 477 437 901 CFFO 470 381 964 CFFI, excl. acquisitions and special investments -116 -107 -240 Free cash flows, excl. special investments 354 274 724 Acquisitions -62 - -28 Speci
Slide 13: Earnings per share
Interim Report 2007 Earnings per share x. 1 7% Growth of :a ppro CA GR 19-23% - y ear Five 14.4 12.2 10.7 8.8 7.9 DKK 2002 2003 2004 2005 2006 2007E 13
Slide 14: 2007 guidance
Interim Report 2007 2007 guidance • Top-line growth of 9-12% measured in local currencies and 3% head- wind from currencies, resulting in revenues of DKK 5,400-5,550 million • Growth in H2 to be driven by Oticon Epoq • Costs expected to grow at a lower rate in H2 than realised H1 • EBIT to grow 12-1
Slide 15: William Demant Holding A/S Q&A
Interim Report 2007 William Demant Holding A/S Q&A 15
William Demant Holding — H1 2007 Earnings Presentation on 6ix